Johan expanding card business

Petaling Jaya: Johan Holdings Bhd, which owns the Diners Club International card franchise in three countries, will expand its existing charge card business in New Zealand to include credit card facility this year.
Chairman and chief executive Tan Sri Tan Kay Hock said the company was in the final stage of upgrading its system infrastructure to enable the rollout.

“We will also offer Diners Club credit card facility in Malaysia in the near future,'' he told StarBiz after the group's AGM recently.

The move to broaden its card offerings in the two countries would replicate the group's success in Singapore, where Diners Club's credit and charge cards had maintained an estimated 5% market share.

The group's card business, which includes travel services, generated about 70% of the group's total turnover of RM522mil for the year ended Jan 31, 2007.

Meanwhile, the group is also looking for new opportunities to expand its property ventures, following its recent foray into China.

Earlier this year, Johan was appointed manager to help supervise the construction of a RM224mil commercial project in Binzhou City.

Tan said the company was eyeing other new commercial projects, mostly in China and Vietnam.

Johan has several on-going property projects in Lumut, Perak, and Sabak Bernam, Selangor.

China also represented an opportunity for Johan to expand its health food retail business, through Nature's Farm outlets. Currently, the company operates eight stores in Malaysia and 30 outlets in Singapore.

“Apart from retailing, we might also consider going into health food manufacturing and wholesale business in China,'' Tan said.

Johan is a diversified group with interest in card business, leisure, retailing and manufacturing of ceramic tiles.

Recently, the company sold off its car business in Britain and divested stakes in its engineering and building material units.

source:biz.thestar.com.my